River and Mercantile secures close to GBP2 billion in pension scheme mandates as CMA deadline approaches
As the deadline for the Competition and Markets Authority (CMA) fiduciary manager retender arrives, River and Mercantile (R&M), has been awarded nearly GBP2 billion in new pension scheme mandates in recent months.
Included in the total is a new fiduciary mandate from the GBP210 million Dover Harbour Board (Dover) Scheme. The tender process for Dover was intermediated by third party evaluator EY who helped the trustees form their current and future key investment requirements and preferences, and subsequently advised on the selection process.
R&M has delivered strong performance for its fiduciary clients over the past year in what was a challenging period for pension schemes and since 2005 when the Fiduciary offering was launched. The team is committed to helping pension scheme trustees achieve their long-term objectives by taking on the management of the schemes’ day-to-day investment decisions, leaving trustees to focus on the bigger picture decisions.
Ajeet Manjrekar, co-Head of R&M Solutions, says: “We are proud to have won nearly GBP2 billion in mandate appointments in recent months, which is testament to the strength of our proposition and the strong track record of our team in customising our offer to meet schemes’ specific needs. It is encouraging that during the retender process, we have received a very positive response from both existing and new clients and I am extremely encouraged by the number of new clients we have won in the last year. We were one of the first Fiduciary Managers in the UK and consequently have a long track record. As demand for delegated services grows, our longevity means we are well placed to benefit from this trend which I believe will only get stronger.”
Bob Holmes, Chair of Trustees of Dover, adds: “As our investment advisors since 2009, R&M has helped us successfully overhaul our investment and liability management strategy and implement some innovative solutions for a scheme of our size that resulted in an improved funding position achieved with less risk despite challenging market conditions. Moving to a fiduciary mandate builds on what we have achieved together thus far and will allow us to manage our investments even more efficiently and meet the cashflow requirements of the scheme as we move towards the achievement of our long-term funding objective.”
William Compton, Senior Manager at EY, notes: “It was absolutely critical for the trustees to be able to visualise the investment potential, operational rigour and cost benefits a fiduciary manager could bring; our independence, deep knowledge of the industry and clear methodology allowed the trustees to make their decision with ease and confidence.”